Residency-based reductions were created as a benefit for homeowners who live in Ohio and make it their permanent residence. To qualify for either the owner-occupied reduction or the homestead exemption for seniors or the disabled, a homeowner must own and occupy the homestead as their primary domicile as of January 1 of the tax year. A homeowner and his/her spouse are entitled to claim a reduction on one property only.
The owner-occupancy credit is a 2.5 percent reduction in the taxes charged by qualified levies. The reduction is applied against real property taxes and manufactured home taxes on any manufactured or mobile home on which a manufactured home tax is assessed. A "homestead" is a dwelling or a manufactured or mobile home taxed as real property that is owned and occupied as a home. Your principal place of residence determines, among other things, where you are registered to vote and where you declare residency for income tax purposes.
The homestead exemption is a statewide program, administered here in Franklin County by Auditor Clarence Mingo, which allows qualified senior citizens and permanently and totally disabled homeowners to reduce their property tax burden by shielding some of the market value of their home from taxation.
The exemption, which takes the form of a credit on property tax bills, allows qualifying homeowners to exempt $25,000 of the market value of their homes from all local property taxes. For example, an eligible owner of a home with a market value of $100,000 will be billed as if the home were valued at $75,000. More than 63,000 Franklin County homeowners are taking advantage of the homestead tax exemption. Those residents saved a combined $38.5 million in 2016.
Please note: Homeowners who do not qualify for the residency based reductions must complete either a residential rental registration form or a rental registration exception form. Click here for more information concerning these forms.
Should you have further questions and/or concerns, please do not hesitate to contact our office at 614-525-3240 or email us at ClarenceMingo@franklincountyohio.gov.